Determine whether to reject or fail to reject at the level of significance of
(a) α = 0.06.
(b) α = 0.09.
;µ = 110,: µ ≠ 110, and P = 0.0769.
Solution
(a) Do you reject or fail to reject at the 0.06 level of significance?
When you assume the null hypothesis is true, a P-value of a hypothesis test is the probability of obtaining a sample statistic with a value as extreme or more extreme than the one determined from the sample data.
If the P-value is less then or equal to the level of significance, than reject .If the P-valve is greater than the level of significance, then fail to reject .
Fail to reject because 0.0769 > 0.06.
(b) Do you reject or fail to reject at the 0.09 level of significance?
If the P-value is less than or equal to the level of significance, then reject . If the P-value is greater then the level of significance, than fail to reject .
Reject because 0.0769 < 0.09.